Room00 accelerates its European expansion

King Street Capital Management has announced a €400 million investment in Room00, a European company specializing in urban and lifestyle hotels. The investment aims to support Room00’s growth and speed up its expansion in key markets in Southern Europe.

The strategic investment will assist Room00 in expanding, particularly in Spain, Portugal, Italy, and preparing for entry into the UK market. The funds will be utilized for acquiring and renovating properties in strategic European cities like Madrid, Barcelona, Lisbon, Porto, Milan, Rome, and Florence. The company plans to expand its portfolio while maintaining a model based on leases and hotel management contracts, with the possibility of directly acquiring properties.

Room00 currently operates over 2,500 rooms across 50 properties with various brands. Its goal is to reach 200 properties and 15,000 rooms by 2029, including adding 1,000 rooms with its first location in London by the end of 2025.

King Street’s Partner and Co-Head of Real Estate, Paul Brennan, views Room00 as an innovative and scalable platform in the European hotel sector. CEO of Room00, Ignacio Requena, sees the investment validating their business model and enabling accelerated growth.

King Street’s support is crucial for Room00’s growth strategy, reflecting a rising interest in the urban and lifestyle hotel sector. The investment will empower Room00 to continue its large-scale development and solidify its presence in the urban hotel sector in Southern Europe.